3 chapter 3 strategic planning in retailing retail management: a strategic approach, 10th edition...
TRANSCRIPT
![Page 1: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/1.jpg)
Chapter 33Strategic Planning in Retailing
RETAIL MANAGEMENT:A STRATEGICAPPROACH,
10th Edition
BERMANBERMAN EVANS EVANS
![Page 2: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/2.jpg)
3-2
Retail Strategy
The overall plan or framework of action that guides a retailerOne year in durationOutlines mission, goals, consumer
market, overall and specific activities, and control mechanisms
![Page 3: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/3.jpg)
3-3
Figure 3-1: Elements of a Retail Strategy
![Page 4: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/4.jpg)
3-4
Benefits of Strategic Retail Planning
Provides thorough analysis of the requirements for doing business for different types of retailers
Outlines retailer goals Allows retailer to determine how to differentiate itself
from competitors Allows retailer to develop an offering that appeals to a
group of customers Offers an analysis of the legal, economic, and
competitive environment Provides for the coordination of the firm’s total efforts Encourages anticipation and avoidance of crises
![Page 5: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/5.jpg)
3-5
Organizational Mission
Retailer’s commitment to a type of business
and to a distinctive role in the marketplace
![Page 6: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/6.jpg)
3-6
Figure 3-2: The Focused Organizational Mission of Frisch’s Restaurants
![Page 7: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/7.jpg)
3-7
Ownership and Management Alternatives
A sole proprietorship is an unincorporated retail firm owned by one person
A partnership is an unincorporated retail firm owned by two or more persons, each with a financial interest
A corporation is a retail firm that is formally incorporated under state law; it is a legal entity apart from its officers
![Page 8: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/8.jpg)
3-8
Figure 3-3: Checklist to
Consider When Starting a New
Business
![Page 9: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/9.jpg)
3-9
Figure 3-4: Checklist for
Purchasing an Existing Retail
Business
![Page 10: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/10.jpg)
3-10
Figure 3-5a: Selected Kinds of Retail Goods and Service Establishments
Durable Goods Stores:Automotive group
Furniture and appliances groupLumber, building, and hardware group
Jewelry stores
Nondurable Goods Stores:Apparel group
Food groupGeneral merchandise group
Gasoline service stations
![Page 11: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/11.jpg)
3-11
Figure 3-5b: Selected Kinds of Retail Goods and Service Establishments
Service Establishments (Personal):Laundry and dry cleaning
Beauty/barber shopsFuneral services
Health-care services
Service Establishments (Amusement):Movie theatersBowling alleys
Dance hallsGolf courses
![Page 12: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/12.jpg)
3-12
Figure 3-5c: Selected Kinds of Retail Goods and Service Establishments
Service Establishments (Repair):Automobile repair
Car washesConsumer electronics repair
Appliance repairs
Service Establishments (Hotel):HotelsMotels
Trailer parksCamps
![Page 13: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/13.jpg)
3-13
Image and Positioning
An image represents how a given retailer is
perceived
by consumers and others
![Page 14: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/14.jpg)
3-14
Positioning Approaches
Mass merchandising is a positioning approach whereby retailers offer a discount or value-oriented image, a wide or deep merchandise selection, and large store facilities
Niche retailing occurs when retailers identify specific customer segments and deploy unique strategies to address the desires of those segments rather than the mass market
![Page 15: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/15.jpg)
3-15
Figure 3-6: Niche Retailing by Hear Music
![Page 16: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/16.jpg)
3-16
Figure 3-7: Selected Retail Positioning Strategies
![Page 17: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/17.jpg)
3-17
Target Market Selection
• Three techniquesThree techniquesMass marketingConcentrated marketingDifferentiated marketing
![Page 18: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/18.jpg)
3-18
Figure 3-8: Jean-Philippe Patisserie: A Shop of Distinction
![Page 19: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/19.jpg)
3-19
Strategic Implications of Target Market Techniques
Retailer’s locationGoods and service mixPromotion effortsPrice orientationStrategy
![Page 20: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/20.jpg)
3-20
Figure 3-9: Developing an Overall Retail Strategy
Controllable Variables:
•Store location•Managing business
•Merchandise management and pricing
•Communicating with customer
Uncontrollable Variables:•Consumers
•Competition•Technology•Economic conditions
•Seasonality•Legal restrictions
RetailStrategy
![Page 21: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/21.jpg)
3-21
Table 3-4a: Legal Environment and Retailing
Store Locationzoning lawsblue lawsenvironmental
lawsdirect selling lawslocal ordinancesleases and
mortgages
Managing the Businesslicensing provisionspersonnel lawsantitrust lawsfranchise
agreementsbusiness taxesrecycling laws
![Page 22: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/22.jpg)
3-22
Table 3-4b: Legal Environment and Retailing
Merchandise Management and Pricingtrademarksmerchandise restrictionsproduct liability laws and lemon lawssales taxesunit-pricing lawscollusion lawssale pricesprice discrimination laws
![Page 23: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/23.jpg)
3-23
Table 3-4c: Legal Environment and Retailing
Communicating with the Customertruth-in-advertising and selling lawstruth-in-credit lawstelemarketing lawsbait-and-switch lawsinventory lawslabeling lawscooling-off laws
![Page 24: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/24.jpg)
3-24
Table 3-6: Sample Strategic Plan
Sally’s is a small, independently-owned, high fashion ladies clothing shop located in a suburban strip mall. It is a full-price, full-
service store for fashion-forward shoppers. Sally’s carries sportswear from popular
designers, has a personal shopper for busy executives, and has an on-premises tailor. The store is updating its strategic plan as a means of getting additional financing for an
anticipated expansion.
![Page 25: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/25.jpg)
3-25
Additional Concerns for Global Retailing
In addition to the strategic planning process:assess your international potentialget expert advice and counselingselect your countriesdevelop, implement, and review an
international retailing strategy
![Page 26: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/26.jpg)
3-26
Factors Affecting the Success of a Global Retailing Strategy
TimingA balanced international programA growing middle classMatching concept to marketSolo or partneringStore location and facilitiesProduct selection
![Page 27: 3 Chapter 3 Strategic Planning in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS](https://reader035.vdocument.in/reader035/viewer/2022081421/56649f415503460f94c60a92/html5/thumbnails/27.jpg)
3-27
Figure A3-1: Factors to Consider When Engaging in Global Retailing
17 Chapter 17 Pricing in Retailing RETAIL MANAGEMENT: A STRATEGIC APPROACH, 9th Edition BERMAN EVANS
19 Chapter 19 Promotional Strategy RETAIL MANAGEMENT: A STRATEGIC APPROACH, 9th Edition BERMAN EVANS
BA 336 Retail Operations Strategic Planning in Retailing (Cont’d) & Retail Institutions by Ownership